Italian market
The prepaid credit card market in Italy
The credit card market is divided into four categories: credit cards, debit cards, commercial cards, and prepaid cards. The category name on the credit card is mandatory since the entry into force on June 9, 2016 of the European Regulation 2015/751.
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The credit card market is divided into four categories: credit cards, debit cards, commercial cards, and prepaid cards. The category name on the credit card is mandatory since the entry into force on June 9, 2016 of the European Regulation 2015/751.
In Italy, the rapid spread of prepaid cards is undoubtedly related to the specific characteristics of the said form of payment. Prepaid cards "allow you to have a limited amount of money," are therefore reloadable and do not require a connection to a current account. The increased security and functionality of the prepaid card are variables that have played a crucial role in its popularity.
The current Italian overview of alternative forms of payment to cash shows a slight contraction of active credit cards but again emphasizes the growth of prepaid cards in both volume (number of cards in circulation) and value (value of transactions). The rapid expansion of prepaid cards is the source of a larger revolution touching all forms of payment, directed toward greater security, especially for online payments, and consumer control. Demand increases and consequently supply becomes more varied and regulation more circumscribed, variables that will influence the future image of the prepaid market.
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